On May 5, 2021, Moneyweb published a story regarding Daybreak Farms’s joint venture with Hestony Transport. The story referred to a forensic investigation, at the behest of Daybreak’s board, which probed allegations of wrongdoing at this joint venture.
The story was largely based on the forensic report resulting from this investigation. Moneyweb, however, also had access to unverified supporting documents.
In also using some of these supporting documents as a basis for the story, Moneyweb erroneously reported that several companies – Xspan Logistics, Muhari Logistics Fairland Longhaul and Willowton Logistics, New Era Commerce – which supplied the joint venture should be investigated for criminal activity.
This should not have been done as it was not a conclusion of the report.
Moneyweb unreservedly apologises to these companies for implying that they were involved in dishonesty and criminal activity.
Note: The Daybreak Farms board responded to Moneyweb’s correction following publication.The company said the recommendation from the forensic report indicated that there should be further steps taken by the Daybreak Farms board to submit the forensic report to the law enforcement agencies who will further investigate possible corruption, money laundering, racketing and fraud around these entities since Daybreak Distributions (Daybreak Farms/Hestony Join Venture ) failed to produce their valid contracts, this matter was referred to the law enforcement agencies in late April and currently, this matter is currently with the law enforcement agencies.
Daybreak Farms told Moneyweb that it the board did not inform the nine entities involved in business transactions with the poultry producer. Additionally the board has not furnished the entities with the forensic report because “those suppliers don’t have valid contracts as per forensic report so where Daybreak Farms stands is that we don’t think we are obliged to communicate with them bearing in mind that we are in phase 2 of the forensic exercise meaning (“the board) is currently working through a remedial action plan.”
“The Daybreak Farms Board is within its rights to report all activities that are suspicious and also in exercising its oversight authority by reporting all matters raised in the forensic report to the law enforcement agencies to take appropriate actions against those implicated. Currently, the investigations are on-going and the Daybreak Farms Board cannot comment further,”the company said.